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Knock-out information

Knock-out

23'300.00 USD

Underlying price1)

25'017.44 USD

Distance to knock-out1)

1'717.44 USD (6.86%)

Knock-out touched

No

UBS Turbo Warrants

In the case of UBS Turbo Warrants, also known as Turbos, the name says it all. With these investment
instruments, investors who are willing to take risks can shift into turbo and considerably increase their
yield potential. Call Turbos speculate on rising and Put Turbos on falling prices of the underlying asset
(e.g. equities, indices, currency pairs, interest rates, commodities). During the term, the strike for Call
Turbos is below the price of the underlying asset and for Put Turbos it is above it.

Turbos are less expensive than Vanilla Warrants and thus generally provide more leverage. However, investors
have to pay a price for the opportunity to earn higher returns in the form of increased risk, as the strike
also acts as a stop loss marker and is therefore also referred to as a knock-out barrier. This barrier should
not be reached or exceeded. If an investor bets on rising prices by buying a Turbo Call Warrant and the
underlying asset hits or breaches the barrier, the Turbo Call Warrant expires immediately without value – its
term ends prematurely. A Turbo Put Warrant on the other hand is geared towards falling markets. If the
underlying asset belies expectations and moves to or above the barrier, the Turbo Warrant has to be written
off as worthless. In other words, in the case of UBS Turbos, breach of a barrier amounts to a total loss of
the capital invested.

In addition, investors must take into consideration the issuer risk, since loss of the invested capital could
occur if UBS AG becomes insolvent, regardless of the performance of the underlying asset and other market
parameters.